Class Agenda

Course Structure
Case Discussion
What Ethics is about

Class-1:16/6/2010
2009-2011 Batch
Ethics
in
Business
PGDM
2009-2011
Prof. Vinay Auluck
June 2010- September2010

Do I have better understanding of answers to
following questions based on what happened in
the first class ?

Why and when dilemmas occur ?
Why management careers face maximum
dilemmas ?
What enhances managers ability to do work ?
How does one choose direction in life ?
What is ethics ? Definitions of its key
terminologies ?
Meaning of values ? Different types of values ?
How value conflicts could be resolved ?


I experience

Hesitation?
Tension?
Anxiety?
Uncertainty?
Lack Confidence
Uneasiness?
Fears?
Apprehensions
Dilemma
What Action I should take
and why ?
Dilemmas
lack of Knowledge & non assuming of responsibility
of consequences of Action
Once you are aware of what
will be the consequences of
an action
and you have a choice of
various options of either
taking an action or not
taking an action , the
dilemmas occur because of
your not being sure
whether you wish to be
responsible as well as
accountable for the
consequences of actions
What is right
Choice?
Feeling of
discomfort at the
thought of being
responsible and
accountable
What is
responsibility &
accountability
Why was Arjun so much anguished?
Which is the best way not to
make any mistake at all ?
Do not do any thing at all ?

How will then any results will come ?

One therefore has take an action,see results,
compare with what is required and plan
corrective actions .
Ethics,Responsibility,Accountability,Due Process
Ethics:Principles of right
and wrong that can be
used by the Individuals
acting as free moral
agents to make choices
to guide their behavior.
Responsibilities means
that accepting the
potential costs,duties and
obligations for the
decisions one makes
Accountability means
mechanisms which are in
place to determine who
took responsible actions,
who is responsible?
Liability: The existence of
laws that permit
individuals to recover the
damages done by other
actors,systems,
organizations
Due process is the mechanisms to ensure that the laws are well known
and well understood and there is an ability to appeal to higher
authorities to ensure that the laws are applied correctly.
What Powers / Drives
Work related behavior ?
Intellect
knowledge ?
Faculty to
discriminate right /
wrong
Strength, Courage,
will power

Values
- personal
-professional
-societal
Passion
Ethics
Values plus
What is
right?
What is
wrong ?
Knowledge
What out
to be?
How do we acquire
Values
Knowledge
Process of Bringing up ?
Learning
3- Indian values
Satyam-Truth-Ethics
Shivam-Welfare-Economics
Sunderam-Beauty-Aesthetics
If we do not perceive,feel and value beauty it
may ultimately lead to bad behavior
Reality !
Different Routes to Understanding !
Scientists

Artists

Rishis
Wisdom Equation
Knowledge Action Reflection Wisdom
Wisdom = R + I

Wisdom = Reason + Intuition


World Views
Transactional

Transformational

Transcendental

What is reality !
Is life a reality or dream ?
http://www.youtube.com/watch?v=ZylIvz_IsyQ

Modes of Thinking
Characteristics
Modes of
Thinking
Dominant
instinct
Driving Force
Power Acquisition Controlling instinct /
Killing instinct
Power
Calculative &
Acquisitive
Accumulative instinct Money
Knowledge Acquisition Inquisitive Instinct Intellectualism
Liberation from
oppression
Survival Instinct Change
Concern for others Helping Instinct Empathy
Difference Between
Man/Animal
Animal- Basic existence
Human- Sensory gratification/
express feelings /assert/learn/
knowledge/relationships/
community/comfort /quality
Higher purposes ,selflessness ,
Creative/ innovative/ Selfless
Pursuits- Are Divine Qualities


Business ethics
BE= IE x OE x ME
Market Ethics : Nature of competition /
Limitations of free markets / Code of
conduct

How to attempt a Case
Discussion on Beating the systems
case
How to attempt a case ?

1 What the case is about?
2 Who are the players and actors?
3 What is the story/event?
4 What are symptoms /problems /
issues?
5What action is either taken or needs
to be taken?

How to attempt a case ?

6 Who ? has What ? problem and
Why? ;and Who ?should do When ?
How and Why ? Can he do it ? Will it
help in immediate ?Short ?Medium ?
Long term?
7 To make use of data/extract
information /review knowledge base /Do
we have gaps? If so what are they?


Comments Case :Beating the
System
1 The case describes a situation requiring choice
among different options.
2 Even though 0nly 6 out of 200 students indulged
in such non conforming behavior ,there will be far
reaching and wider implications of decision such
as credibility of schools administration among
other students , parents , teachers, recruiters , new
admissions , rating agencies , universities , legal
entities ,courts etc will impact various entities in
various ways


What to do with 6 Students Caught
Copying ( 1,2,3,4,5,6) deviant behavior

A B C
1 2 3
4 1 1
5 5
6
Approaches
A Total trust- wanted all 6 to be dismissed
B Normally fair /sometimes unfair only 2 to be
dismissed
C All should be let off with warning


Issues
1 Purpose of education system and
within this objectives of various
components like attendance /internal
assignments
2 Code of conduct for various players
in education systems.
3 On what reputation for quality
,placement prospects will depend


Issues
4 Should announced rules be
implemented ?Why have rules if not to
be implemented?
5 What should be purpose / the nature
of punishment ?
6 What exactly are conflict issues and
what would be the criterion for
decision.Balancing short tem / Vs
long Term decisions
Corruption !
What is it ?
Is it Good or Bad ?
What is Indias record in this area ?
What should be done about it ?
- Adopt it officially as national culture ?Should have a
dishonesty policy through standardization Or
- Govt. Should do something about it ? Or
- Task of everybody or only to be preached to others ? Or
- What should be done at individual as well as personal levels
Copying is it similar or different ?

Honesty: Best Or Bust Policy?


Honesty finally
wins for its
the most
expedient
course of
action

For Society to
survive , the
principle of
dishonesty have
to be
standardized

Values ?
What are they ?
D-( descriptive );N (Normative ) ;A (analytical ):
DNA -Of-Ethics
6 Bundles of 30 Values-Pages36-41 of EC &RC
Basic Values-16
Rights as Values-3
Institutional Values- 6
Formulae for testing rightness-2
Description of method of self discipline-1
Methods to correct biases and imbalances-2

Classification of Values
End results /Goals
Acceptance Criterion
Required to be optimized
In nature of right of beneficiaries
Norms and means for ethical
implementation
Duties
Value Classification
Criterion for accepting values
Values which are to be optimized
Values in nature of rights of
beneficiaries
Norms & means for
institutionalizing ethical
implementation

Criterion for accepting
values
Test of universality
Test of the greatest good
for the greatest number
Norms & Means for institutionalizing
ethical implementation

Distributive justice
Democratic discourse
Market system
Respect for processes of social adaptation
respect for law
respect for professional codes
ensuring organizations as vehicles for
ethical synergy
Respect for rituals and symbols
Values in nature of
rights of beneficiaries
Right to privacy
Right to individual choice
Right to minimum standard of
life

Values which are to
be optimized

Controlled Greed
Pursuit of pleasure
Truth
Transparency &
Honesty
Compassion &honesty
Gratitude and
respectfulness
Trust /Co-operation
Harmony with self,
society and nature